Extension
It Starts With Us
Increasing Agricultural Profitability
Increasing Agricultural Profitability
Hardy, Heisdorffer
Beef
Grain Crops
Farm Management
Integrated Plant Pest Management
A recent rapid downturn in commodity prices following a period of record profitability created a paradigm shift in how producers face an uncertain future. Massive erosion of equity has already begun as producers maintain payments on machinery and land purchased during the peak of profit taking. Row crop agriculture, animal livestock production and tobacco are all enterprises maintained on Daviess county farm businesses. Producers face the challenge of continuing production practices adopted during the peak profit period when the return on investment was much greater. No one seeks to allow yields to decline but producers must face the challenge of responsible farm management and determine inputs and enterprises which grow profit rather than erode equity. Input sources, contracts and machinery replacement must be carefully considered and producers will rely on unbiased research based information provided by the university in seeking profitable farm management practices.
Situation:
Fruit and vegetable production is an important industry in Daviess County for wholesale, road side stand, and farmers’ market growers. As in field crop production, careful consideration must be given to inputs used in growing fruits and vegetables, or deciding when to make the investment into production practices such as using high tunnels to extend the growing season. Growers look to the unbiased, researched information provided by the University of Kentucky to make informed decisions.
Daviess County Agricultural producers will remain successful into the future, providing opportunities for expansion and for a successful succession to the next generation of family interested in continuing the business
Clientele will endeavor to persevere as the adopt practices and farming methods in grain and livestock which lower costs, maintain yields and improve soil through stewardship. Clientele will adopt farming practices which increase their net revenue potential. Quality of produce will increase.
Clientele will utilize Daviess County research and demonstration data to make informed decisions as they adjust to lower revenues. Clientele will gain knowledge and awareness of improved farming practices.
Long-term Outcome:
Indicator: Daviess County farms will continue profitable management providing the opportunity for the next generation to transition successfully, clientele will adopt farming and management practices which provide security in profitability, clientele will learn about agricultural production techniques which provide the greatest return on investment.
Method: Survey Evaluation, Observation
Timeline: Winter 2020, 2021
Audience: Farmers
Project or Activity: Ag expo
Content or Curriculum: grain production research update
Inputs: ANR, extension specialists, local agricultural businesses
Date: January 2020
Audience: Farmers
Project or Activity: private pesticide applicator certification
Content or Curriculum: grain production weed & insect update
Inputs: ANR, specialists
Date: Winter 2020
Audience: Farmers
Project or Activity: Daviess County research and demonstration plots
Content or Curriculum: grain, tobacco, livestock
Inputs: ANR, local agriculture businesses
Date: Fall 2019, Spring 2020
Audience: Farmers
Project or Activity: CPH45
Content or Curriculum: Beef Marketing & Management
Inputs: ANR, Extension specialists
Date: February 2020
Audience: Farmers
Project or Activity: Midwest Beef Summit
Content or Curriculum: understanding animal breeding and genetics
Inputs: ANR, extension specialists, KBN
Date: August 2019
Audience: Farmers
Project or activity: Fertilizer Summit
Content or curriculum: increasing understanding of fertilizer & inputs in crop production
Inputs: ANR, extension specialists
Date: November 2019
Audience: Vegetable producers
Project or activity: Vegetable Production Meeting
Content or curriculum: UK information
Inputs: Horticulture Agent, Extension Specialists
Date: January/February 2020
Author: Clinton Hardy
Major Program: Beef
The cost of production, in all aspects of agriculture, continues to increase while prices remain stable or decrease. This scenario requires producers to analyze each decision as it relates to margin management. For cow/calf operations, the cost of replacement breeding stock often takes 9 years before a positive return on investment occurs. The need to cull typically coincides with the conclusion of this period, leaving salvage value as the only profit. Understanding genet
Author: Clinton Hardy
Major Program: Beef
Beef cattle production is an important enterprise in the Daviess County agricultural economy. Cattle are grown by nearly 200 full time agricultural producers as well as individuals who utilize cattle production revenue as a supplement for off farm employment. Cattle and forages were historically low priorities regarding management of the breeding season and ensuring the highest quality forage nutrition available. Typical revenues on a per acre basis were low in comparison to grain an
